Reimbursement for treatment on medical and dental care

Q2 Are reimbursements for the purchase of health supplements, contact lens and eyeglasses taxable?

These reimbursements are taxable as they are not covered under the administrative concession.

Q3 Is there a difference in the tax treatment for General Practitioner (GP) outpatient medical bills and specialist medical bills?

There is no difference in the tax treatment. If both benefits are available to all employees, the reimbursement for both types of bills are not taxable.

Q4 The amount of reimbursement on the same benefit (e.g hospitalisation) depends on the employee’s grade. Does it affect the tax treatment?

Applying different thresholds for staff of different grades does not affect the tax treatment. The reimbursements are not taxable.

Q5 Is there a threshold amount beyond which the reimbursement of medical and dental expenses will be subject to tax?

No.

Q6 The medical and dental benefits are made under a flexible benefits scheme where employees are given various benefits to choose from. What is the tax treatment?

Offering medical and dental benefits under the flexible benefits scheme (also known as cafeteria benefits) does not change the tax treatment of the benefits. See information on flexible benefits scheme.